Visa Raises "No Signature" Limit to $50 to Increase Merchant Efficiency & Consumer Convenience

May 7, 2012 at 9:01 AM EDT
Visa Also Streamlines Dispute Resolution Process to Reduce Merchant Fraud Management Costs

SAN FRANCISCO, May 7, 2012 /PRNewswire/ -- Visa Inc. (NYSE: V) today announced plans to raise its Visa Easy Payment Service "no signature required" limit from $25 to $50 for two key U.S. merchant categories. Starting in October 2012, discount stores and grocery stores/supermarkets in the U.S. can accept Visa cards for transactions up to $50 without requiring a cardholder signature or PIN, or providing a customer receipt unless requested by the cardholder.[1] This change is designed to increase speed at the point-of-sale, cardholder convenience and operational efficiencies for a large number of merchants.

Previously known as the No Signature Required program in the U.S., Visa Easy Payment Service allows merchants to eliminate cardholder verification and receipts on qualifying smaller value transactions. This helps make the payment process easier and more convenient for both merchants and cardholders. The program has been available to the majority of merchant categories in the U.S. since July 2010, for purchases up to $25.

As the $50 limit is introduced, Visa will review merchant, cardholder and card issuer feedback and may expand this higher transaction limit to additional merchant categories in the near future. Approximately 80 percent of face-to-face Visa consumer transactions in the U.S. are under $50.[2]

"Visa is committed to delivering solutions to help our merchant and financial institution partners better serve their customers, reduce costs and grow their businesses," said William M. Sheedy, Group President, Americas, Visa Inc. "Visa Easy Payment Service has been extremely popular with merchants and cardholders in busy retail environments. As a result, merchants have asked us to expand the program to purchases up to $50, so that they can more efficiently support consumers' growing preference to use cards instead of cash or checks for everyday purchases."

Streamlined Dispute Resolution Process

Visa also announced changes to its dispute resolution process to reduce unnecessary chargebacks and merchant documentation requirements and promote faster, more efficient dispute resolution for all participants in its payments system.

Starting in April 2013, merchants will be protected from fraud chargebacks on transactions that have been electronically read (i.e., swiped or dipped in, or waved past, a card reader), helping to reduce merchant fraud management costs when appropriate acceptance procedures have been followed at the point of sale. In addition, Visa will eliminate the requirement for its card issuers to ask merchants for a copy of the receipt when a cardholder disputes a transaction, resulting in back office operational savings for everyone. There is no change to existing fraud liability associated with these changes.

The changes to Visa's Easy Payment Service and dispute resolution process will help its merchant and financial institution partners to better serve their customers and grow their respective businesses. 

About Visa Inc.

Visa is a global payments technology company that connects consumers, businesses, financial institutions and governments in more than 200 countries and territories to fast, secure and reliable digital currency. Underpinning digital currency is one of the world's most advanced processing networks–VisaNet–that is capable of handling more than 20,000 transaction messages a second, with fraud protection for consumers and guaranteed payment for merchants. Visa is not a bank, and does not issue cards, extend credit or set rates and fees for consumers. Visa's innovations, however, enable its financial institution customers to offer consumers more choices: Pay now with debit, ahead of time with prepaid or later with credit products. For more information, visit  

Ted Carr
Visa Inc.

[1] Applies to Merchant Category Codes (MCCs) 5310 (Discount Stores) and 5411 (Grocery Stores & Supermarkets)
[2] Visa Inc. Data 2011

SOURCE Visa Inc.